Multiple Choice

-The table above gives information about the labor market in Lantis, a community in which the labor market is perfectly competitive. If the demand for labor decreases by 200 hours per day, the equilibrium wage rate falls to ________ an hour and the quantity of labor employed ________ hours per day.
A) $10; remains at 400
B) $10; decreases to 300
C) $20; increases to 400
D) $5; remains at 200
Correct Answer:
Verified
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